The Federal Government has issued a licence to construct (LCT) Nigeria’s pioneering floating liquefied natural gas (FLNG) facility to UTM FLNG Limited.
This marks a giant leap in the country’s energy sector.
The issuance of the LTC by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) last Friday was part of a major fulfillment of President Bola Ahmed Tinubu’s assurance in July, last year, to give necessary support to the Nigerian firm to actualise the landmark gas project.
The President, while hosting the management of the company and its foreign partners at the State House in Abuja, pledged to remove all impediments to the timely completion of the project.
The UTM FLNG plant, which is located offshore Akwa Ibom State, is expected to be completed and inaugurated in 2028 with gas production projected to begin the following year.
The plant, with a capacity of 2.8 million tonnes per annum (MTPA), will produce LNG, liquefied petroleum gas (LPG), and condensate from re-injected gas at the OML 104 Yoho Field.
The project represents a significant step forward in Nigeria’s energy sector, enhancing the country’s ability to harness its untapped 209 trillion cubic feet of natural gas for both export and domestic consumption.
It is expected to leapfrog the national economy by ensuring availability of gas at lower cost, generate massive employment and multi-million naira business opportunities for Nigerians and other nationals.
The presentation of the licence to the company at the NMDPRA headquarters at the weekend in Abuja was witnessed by key industry players, including the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo.
